Why the EV Revolution Just Stalled
Patrick Boyle On Finance
Patrick Boyle
4.9 • 308 Ratings
🗓️ 22 December 2025
⏱️ 30 minutes
🧾️ Download transcript
Summary
Three years ago, the global auto industry was gripped by a collective hallucination. CEOs promised us that the internal combustion engine would be dead by 2035 and that legacy automakers were just one battery factory away from a trillion-dollar valuation.That narrative has now collided with economic reality.In this video, we analyze the collapse of the "inevitability" narrative. We look at why Ford has been forced to take a staggering $19.5 billion write-down, why the European Union is quietly dismantling its own petrol ban, and why—despite billions in subsidies—automakers are still losing $6,000 on every electric vehicle they sell.We examine how the industry confused a political project with consumer demand, leading to a market where the cars are too expensive for the middle class and too unprofitable for the manufacturers.
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Transcript
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| 0:00.0 | Hader, it's your big McDonald's hunger calling. |
| 0:03.4 | And it's not just any kind of hunger. |
| 0:04.9 | It's the kind that calls for big arch. |
| 0:07.0 | Start with juicy beef, cheddar cheese and big arch sauce. |
| 0:10.3 | Oh, and don't forget those crispy onions. |
| 0:12.6 | Hungry? |
| 0:13.3 | You are now. |
| 0:16.7 | Saved from 11 a.m., subject to availability. |
| 0:18.7 | Price and participation may vary. |
| 0:20.4 | Three years ago, the global auto industry was gripped by a collective hallucination. |
| 0:25.8 | Mesmerized by Tesla's trillion-dollar valuation, traditional carmakers convinced themselves and their investors |
| 0:32.8 | that they were just one battery factory away from their stocks trading at similar multiples. |
| 0:39.0 | Volkswagen promised that 70% of its European sales would be electric by 2030, a figure they |
| 0:45.8 | later bumped up to 80%. Stilantis went further, pledging a 100% transition. Even General Motors, a company not historically known for |
| 0:57.0 | rash technological bets, set a 2035 deadline to abandon the eternal combustion engine entirely. |
| 1:05.5 | Those promises were easy to make a few years ago, when interest rates were zero and |
| 1:10.8 | politicians were writing |
| 1:12.1 | checks. They're much harder to keep today. The reality check arrived this autumn with brutal |
| 1:18.6 | clarity. In September, Donald Trump abruptly withdrew the $7,500 consumer tax credit, a subsidy that often tipped the economic scales in favor of going electric. |
| 1:32.1 | Combined with his rollback of emissions regulations, the artificial floor supporting the |
| 1:37.6 | U.S. electric vehicle market has effectively collapsed. Across the Atlantic, the retreat is different in mechanism, but identical |
| 1:47.2 | in direction. The European Commission, bowing to intense pressure from its auto manufacturers, |
... |
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